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Evanston Insurance Co. v. 70 Limited Partnership

United States District Court, D. Nevada

September 13, 2017

EVANSTON INSURANCE COMPANY, Plaintiffs,
v.
70 LIMITED PARTNERSHIP, a Nevada L.P.; TERTIA DVORCHAK, as Special Administratrix of the Estate of Thomas T. Beam, Deceased; JOHN PETER LEE, LTD., a Nevada Professional Corporation; and JOHN PETER LEE, an Individual, Defendants. JOHN PETER LEE, LTD. and JOHN PETER LEE, Third-Party Plaintiff,
v.
HARLEY E. HARMON INSURANCE AGENCY, INC., Third-Party Defendant.

          GEORGE D. YARON, TODD L.MOODY, HUTCHISON & STEFFEN ATTORNEYS, Attorneys for Defendants, Counter-Claimants, and Third-Party Plaintiffs JOHN PETER LEE, LTD., and the ESTATE OF JOHN PETER LEE.

          CLARK HILL, PLLC, NICHOLAS M. WIECZOREK, Attorney for Plaintiff and Counter-Defendant EVANSTON INSURANCE COMPANY.

          LITCHFIELD CAVO, LLP, GRIFFITH H. HAYES, Attorneys for Third-Party Defendant HARLEY E. HARMON INSURANCE AGENCY, INC.

          WEINBERG, WHEELER, HUDGINS, GUNN & DIAL, LLC, JEREMY R. ALBERTS, HOWARD J. RUSSELL, D. LEE ROBERTS, JR., DAVID J. LARSON, Attorneys for Defendants 70 LIMITED PARTNERSHIP and TERTIA DVORCHAK.

          STIPULATION AND PROPOSED ORDER, PURSUANT TO LOCAL RULE IA 6-1, TO EXTEND THE DEADLINE FOR FILING A PROPOSED SCHEDULING ORDER (THIRD REQUEST)

         This matter was stayed effective December 5, 2014, when Magistrate Judge Nancy J. Koppe issued an Order staying this action pending the resolution of the malpractice lawsuit, entitled 70 Limited Partnership, et al. v. John Peter Lee, Ltd., et al., Case No. A-13-691389-C, Eighth Judicial District, State of Nevada, Clark County (''Malpractice action").

         The Malpractice action involved allegations of attorney malpractice by John Peter Lee, Ltd., and John Peter Lee in connection with their work on an inverse condemnation case, captioned 70 Limited Partnership, et al. v. McCarron International Airport and Clark County, Clark County District Court, Case no A572739 ("McCarron action"). Moreover, the case, captioned F &C Collections, Inc. and John Peter Lee, Ltd., v. Estate of Thomas T. Beam, Jimma Lee Beam Revocable Trust, 70 Limited, LLC, Leigh, T&D, Inc., Jimma Lee Beam (deceased), Tertia Dvorchak and Bank of Nevada, Clark County District Court, Case No. A-13-680570-B ("Collection action"), began when John Peter Lee, Ltd., sought to recover the fees/costs earned prosecuting the McCarron action. The Malpractice action was filed after the Collection action approximately seven and one-half months later. On or about April 25, 2014, the Malpractice action was consolidated with the Collection action.

         A settlement was reached in the Collection action, and Malpractice action was dismissed. In light of these developments, the parties recently requested the Court lift the stay. The Court lifted the Stay effective August 17, 2017, and ordered the parties to file a proposed scheduling order by August 24, 2017.

         This matter involves six parties. These parties are: (1) Evanston Insurance Company, (2) 70 Limited Partnership, (3) Tertia Dvorchak, (4) John Peter Lee, LTD., (5) the Estate of John Peter Lee, and (6) Harley E. Harmon Insurance Agency, Inc. Evanston Insurance Company, is the professional liability insurer of the deceased John Peter Lee and Mr. Lee's law firm - John Peter Lee, Ltd. Mr. Lee passed away during the time that this matter was stayed, 70 Limited Partnership and Tertia Dvorchak brought the Malpractice action against Mr, Lee and John Peter Lee, Ltd. The Estate of John Peter Lee and John Peter Lee, Ltd., filed a Third-Party Complaint against John Peter Lee, Ltd.'s insurance broker, Harley E. Harmon Insurance Agency, Inc., for claims related to the Malpractice action.

         In the second half of August of 2017, the parties commenced settlement discussions. The parties requested that the deadline for filing a proposed Scheduling Order be extended from August 24, 2017 to September 6, 2017, so that the parties would have time to continue their settlement discussions. The Court granted the request and signed the Stipulation. Thereafter, the parties made a second request that the deadline for filing a proposed Scheduling Order be extended from September 6, 2017 to September 13, 2017, for the parties to continue their settlement discussions. The Court granted the request and signed the Stipulation.

         During the past three weeks, the parties have continued settlement discussions. All claims between Evanston Insurance Company, on the one hand, and John Peter Lee, LTD., and the Estate of John Peter Lee, on the other hand, have been tentatively settled. The claims asserted by Evanston Insurance Company against Tertia Dvorchak and 70 Limited Partnership have been tentatively settled. The only remaining claim is the claim of John Peter Lee, LTD., and the Estate of John Peter-Lee, on the other hand, against Harley E. Harmon Insurance Agency, Inc., on the other hand. There are ongoing settlement negotiations related to the remaining claim.

         The parties request that the deadline for filing a proposed Scheduling Order be extended 9 days to provide additional time for the parties involved to continue their settlement discussions. If the remaining settlement discussions are successful, then the entire matter, including Counterclaims and Third-Party Complaints, will be dismissed. If the settlement discussions are unsuccessful, then the parties will prepare and file a proposed Scheduling Order on or before September 22, 2017.

         The Parties hereby stipulate that the deadline to file the proposed Scheduling Order be ...


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